Mr. James Howard-Tripp reports
GENENEWS CLOSES CDN $510,000 SECOND TRANCHE OF STRATEGIC PRIVATE PLACEMENT
GeneNews Ltd. has closed the $510,000 second tranche of the private placement financing.
A total of 14 investors participated in the private placement for total gross proceeds of $510,000. The private placement was structured as units at CDN$0.08, with each unit comprising one common share and one half warrant, whereby each whole warrant can be exercised into common shares for a period of 36 months at a price of CDN$0.10
Tranche one of the private placement was initiated on February 8, 2019 with a unit price of CDN$0.05 and at an approximately 16% discount to the 5-day VWAP of CDN$0.06. It was quickly very significantly oversubscribed. Tranche two of the private placement was immediately initiated and was priced on March 1 at CDN$0.08 per unit, an approximately 16% discount to the prevailing 5-day VWAP of CDN$0.09. Tranche two was also, immediately significantly oversubscribed.
"We have taken the company to significant new groups of investors and, it is their excitement and interest in supporting us in reaching our goals, that have fueled this private placement," said James R Howard-Tripp, Chief Executive Officer of GeneNews Limited. "It is now three years since our buy-out of the full operation and these years of diligent work are paying off - it is now a matter of execution. The increased funding will help us to launch the Patient Directed Testing Telehealth program, as well as support the continued build-out of sales and marketing initiatives targeting physician practices, large healthcare systems and self-insured employers who will drive the significant growth in test adoption we have been planning for."
About GeneNews Limited
GeneNews is dedicated to developing and commercializing innovative solutions for early cancer detection. Our mission is to provide advanced diagnostics that can help physicians identify cancer in their patients at the earliest possible stage, when it is the most curable. As early pioneers in the liquid biopsy space, GeneNews developed one of the first blood-based biomarker test for the early identification of Colorectal Cancer. ColonSentrytrademark uses the company's proprietary Sentinel Principle technology which is based on the scientific observation that circulating blood reflects, in a detectable way, what is occurring throughout the body.
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